On January 28, 2013, Xstelos Holdings, Inc. (OTCQB: XTLS) ("Xstelos") and
Auxilium Pharmaceuticals, Inc. ("Auxilium") announced that they filed a lawsuit
against Upsher-Smith Laboratories, Inc. ("USL") for infringement of ten U.S.
patents covering Testim®, 1% testosterone gel, that are listed in the Approved
Drug Products with Therapeutic Equivalence Evaluations (commonly known as the
Orange Book), published by the U.S. Food and Drug Administration ("FDA"). These
ten patents are owned by FCB I LLC, an indirect majority owned subsidiary of
Xstelos, and are exclusively licensed to Auxilium. Xstelos holds the assets of
CPEX Pharmaceuticals, Inc. ("CPEX"), the predecessor owner of the patents. The
lawsuit was filed in the United States District Court for the District of
Delaware on January 28, 2013.

The foregoing is qualified in its entirety by the text of the joint press
release attached as Exhibit 99.1 hereto and incorporated herein by
reference. All readers are encouraged to read the entire text of the joint press
release attached hereto.

Item 8.01 Other Events.

On January 28, 2013, Xstelos and Auxilium filed a lawsuit against USL for
infringement of ten U.S. patents covering Testim®, 1% testosterone gel, that are
listed in the Approved Drug Products with Therapeutic Equivalence Evaluations
(commonly known as the Orange Book), published by the FDA. These ten patents are
owned by FCB I LLC, an indirect majority owned subsidiary of Xstelos, and are
exclusively licensed to Auxilium. Xstelos holds the assets of CPEX, the
predecessor owner of the patents. The lawsuit was filed in the United States
District Court for the District of Delaware.

Xstelos and Auxilium filed this lawsuit in response to a notice letter sent by
USL regarding its filing with the FDA of New Drug Application ("NDA") No. 204399
for a 1% testosterone gel product. This letter also stated that NDA No. 204399
contained Paragraph IV certifications, under 21 U.S.C. Section 314.52(c) of the
Federal Food, Drug, and Cosmetic Act, with respect to the ten patents listed in
the Orange Book as covering Testim: U.S. Patent Nos. 7,320,968; 7,608,605;
7,608,606; 7,608,607; 7,608,608; 7,608,609; 7,608,610; 7,935,690; 8,063,029; and
8,178,518. These ten patents are expected to expire on various dates ranging
from April 21, 2023 through January 18, 2025. Auxilium and Xstelos remain
committed to protecting their intellectual property rights, including their
patent protection for Testim.

Under the Hatch-Waxman Act, as a result of the patent infringement lawsuit filed
against USL, final FDA approval of USL's NDA for its proposed generic version of
Testim will be stayed until at least the earlier of 30 months from the date
USL's notice letter was received (i.e., June 24, 2015) or final resolution of
the pending patent infringement lawsuit. While USL may receive tentative
approval from the FDA for its version of Testim before one of those events
occurs, it would not be permitted to launch its generic product in the U.S.
until it receives the necessary final approval of its NDA from the FDA.